Buying a car – whether new or used – is one of the biggest purchases we make. It is important to take your time in deciding which car to buy and not be pressured by anyone who simply wants your money or your signature on a contract. Once you decide on the vehicle that best fits your needs and budget, shop around for the best price, know the vehicle’s history (if used), and be prepared to walk away from the deal if your questions are not being answered. Before you buy or lease a vehicle:
Always read and understand your purchase contract. Carefully review the vehicle’s price, fees, and finance charges. Don’t sign anything you don’t understand.
Make sure you understand the manufacturer’s warranty or any extended warranties offered by the dealer at extra cost. Because the cost of an extended warranty can be expensive, you should find out what it covers before you buy it.
When getting a loan, compare interest rates. You may pay more money when a dealer obtains a loan on your behalf than if you go directly to a bank or lender.
Protect yourself from fraud and unsafe used vehicles. The National Motor Vehicle Title Information System (NMVTIS) provides important information about a used vehicle’s history. You can obtaina NMVTISreport at www.vehiclehistory.gov. Licensed dealers selling used cars must have
a NMVTISreport to show you.
Understand the restrictions when buying an out of state vehicle: the car must be certified to meet California smog laws to be registered in California. See Buying an Out of State Vehicle on the California DMV website.
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